IN RE Vs. RAMCO SYSTEMS LIMITED

JUDGEMENT

(1.) This is an application which has been filed by the Operational Creditor namely RAMCO Systems Ltd. under the provisions of Sections 8 and 9 of Insolvency and Bankruptcy Code, 2016 (for brevity IBC,2016) against the Corporate Debtor namely Spicejet Limited. The transaction leading to filing of the present Petition, it is averred in the Petition is that the Operational Creditor and Corporate Debtor agreed and entered into an Aviation Software Solutions Agreement dated 13.5.2013 and pursuant to the said agreement, Operational Creditor had issued invoice No.INAVN/DINl/0007/14, amounting to Rs. 1,12,36,000/- to the Corporate Debtor for payment of license fee along with execution of documents and this was followed up with another invoice bearing No.IIMAVN/DINl/0008/14 dated 30.5.2013 amounting to Rs.89,88,800/- and in relation to the said invoice it is averred by the Operational Creditor that a sum of Rs.26,98,880/- was paid by the Corporate Debtor towards part payment of the invoice and there yet remains a balance of Rs.62,89,920/-. Subsequent to the above, it is averred by the Operational Creditor that on 1.7.2014 in relation to the Software License agreement dated 13.5.2013, an addendum was agreed and entered into between the parties. Pursuant to the same, Operational Creditor had issued a Change on Demand Order No. COD. Junl4-1/SK-M&E/2014 and again pursuant to this addendum to the Software License Agreement dated 13.5.2013, it is averred that the Operational Creditor had issued invoice No.INAVN/DIN2/0001/15 amounting to Rs.59,83,170/- to the Corporate Debtor in terms of the addendum dated 1.7.2014. On 23.7.2014 it is averred that a further invoice was also raised and issued bearing No.INAVN/DIN2/0002/15, amounting to Rs.33,70,800/- to the Corporate Debtor for additional services and personalization.

(2.) While so, it is averred by the Operational Creditor that on 19.1.2016 an email seeking balance in relation to Spicejet Ltd. being the Corporate Debtor under the hand of its Auditor was received by the Operational Creditor and that the said email was also responded to on the same date i.e. 19.1.2016. Further, along with the said email sent by way of response, a statement of account was also attached to sustain the outstanding amount claimed by the Operational Creditor. Pursuant to these exchanges, on 10.11.2016, Operational Creditor avers that a notice was issued for the outstanding sums due from the Corporate Debtor wherein an amount of Rs.2,46,98,090/- was claimed as due arising out of invoices dated 17.5.2013, 30.5.2013 and 23.07.2014 aggregating to a sum of Rs.1,22,73,090/- and Rs.1,24,25,000/- towards unbilled license amount. However, due to lack of response, a notice under the hand of its legal Counsel dated 13.1.2017 was issued to the Corporate Debtor demanding a sum of Rs.2,99,32,640/- as outstanding due along with interest at 18% per annum failing which to face winding up and this was followed up with demand notice dated 24.4.2017 under Section 8 of IBC,2016 read with Attendant Rules wherein a sum of Rs.2,99,32,640/- as principal amount and Rs.1,88,54,560/- as interest calculated at 18% till 31.3.2017 in all aggregating to Rs.4,87,87,200/- was claimed as unpaid operational debt due from the Corporate Debtor.

(3.) In view of lack of response by way of payment of the amount claimed in default or notice of dispute being issued to the Operational Creditor on the part of the Corporate Debtor, the above Application has been preferred wherein an operational debt in a sum of Rs.4,87,87,200/- is claimed as the amount in default from 24.4.2017.